IFC Provides $23 Million Support to Johnvents Industries

IFC Johnvents Industries $23m support: International Finance Corporation, IFC, and Johnvents Industries Limited announced a partnership to expand the company’s cocoa processing operations and increase its export capacity to global markets on Wednesday. The corporation offers a $23.3m financing package to the agribusiness group. 

IFC Johnvents Industries $23m Support

IFC’s $23.3 million financing package includes an $8.5m loan from the IFC’s account, a $6.3m loan equivalent in Nigerian Naira. According to IFC, the partnership will allow Johnvents to expand its cocoa processing plant in Ondo State, Nigeria, and double its production capacity to up to 120 metric tons of cocoa per day. It will provide steady incomes for farmers in its supply chain. 

Also, to support Johnvents’ sustainability efforts, IFC’s loan will enable the company to replace inefficient diesel generators and wood-based boilers with a new efficient power generation system that uses natural gas to produce electricity and thermal energy, resulting in fewer emissions.

The partnership between both organisations was announced in a post on X (formerly Twitter) by Makhtar Diop, managing director of IFC, on Wednesday.

“IFC is committed to growing agribusinesses in Nigeria and across Africa,” Diop said in his post on X.

Johnvent also announced the partnership on X, saying, “We took a major leap forward! We signed a strategic partnership with the International Finance Corporation (IFC), a member of the World Bank Group. This collaboration facilitates a US$23.3 million senior secured loan that fuels our US$46.1 million expansion project.”

Positive Impact of IFC Johnvents Industries $23m support

One major advantage of the partnership is the provision of advisory services to Johnvents. This will help the company increase women’s participation in its workforce and across its value chain. 

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John Alamu, Group Managing Director, Johnvents Industries Limited, said, “IFC’s partnership with Johnvents marks another giant step in our commitment to transform Nigeria’s cocoa sector and agriculture industry. This support will help strengthen our operations and energize our commitment to sustainability, traceability, and inclusive growth. By doubling our production capacity and increasing export potential, we aim to deliver more value to all stakeholders and significantly contribute to the nation’s economic diversification and development.”

The Expected Result Of The Partnership

Cocoa plays a vital role in Nigeria’s agribusiness sector, and the country is one of Africa’s largest producers and exporters. The partnership is expected to enable Johnvents to meet higher demand and access new markets. This is executed while boosting Nigeria’s competitiveness in the global cocoa market. Consequently, increasing the country’s export earnings.

IFC Managing Director, Makhtar Diop, said, “Agribusiness plays a critical role in fostering value addition and diversifying Nigeria’s economy. IFC’s financing and advisory support for Johnvents will help strengthen the company’s operations. It will also develop Nigeria’s cocoa sector, and sustain and create thousands of jobs.”